Summer 20 Company is an accounting firm that allocates indirect costs using a single predetermined overhead allocation rate with direct labor hours as the allocation base. Based on the following, what is the predetermined overhead allocation rate per direct labor hour? Estimated indirect costs for the year $300,000
Estimated direct labor hours for the year 2,667
Estimated direct labor cost $400,000
Direct Labor Rate per hour $150
Client billing rate based on direct labor cost 120%
a. $75 per direct labor hour
b. $20 per direct labor hour
c. $150 per direct labor hour
d. $112 per direct labor hour

answeraccounts;

two years ago, when picking flowers in the mountains back of yosemite valley, i found a book. it was blotted and storm-beaten; all of its outer pages were mealy and crumbly. the paper seemed to dissolve like the snow beneath which it had been buried, however; many of the inner pages were well preserved. and although all were more or less stained and torn, whole chapters were easily readable. this is the condition of the great open book of yosemite glaciers today; its granite pages have been torn and blurred by the same storms that wasted the castaway book.

two years ago, when picking flowers in the mountains back of yosemite valley; i found a book. it was blotted and storm-beaten, all of its outer pages were mealy and crumbly. the paper seemed to dissolve like the snow beneath which it had been buried, however, many of the inner pages were well preserved. and although all were more or less stained and torn; whole chapters were easily readable. this is the condition of the great open book of yosemite glaciers today, its granite pages have been torn and blurred by the same storms that wasted the castaway book.